RPA 1 - Module 8 questions with
complete solutions graded A+
403(b) requirements - correct answer ✔✔-Fully contributory on an elective basis
with no ER contributions -ER contributions with/without EE contributions
Qualified employers for 403(b) plans - correct answer ✔✔501(c)(3) non-profit
organizations and public school systems
Eligible employees for 403(b) plans - correct answer ✔✔Bona fide employees
(seasonal, part-time, full-time) - Not independent contractors
Types of contributions in 403(b) - correct answer ✔✔"-Non-elective contributions
(employer), -Employer matching, -Elective employee, -Elective employee for
employer matching"
Salary reduction limits - correct answer ✔✔Same as 401(k): $23,000 plus $7,500
catch-up in 2024
SECURE 2.0 increases the catch-up limit for EEs age 60 to 63.
the greater of $10,000 or 50% more than the regular catch-up limit
EGTRRA impacts on 403(b) plans - correct answer ✔✔Increased deferral limits
and compensation plans
Permitted use of both 403(b) and 457(b) plan by the same employer
complete solutions graded A+
403(b) requirements - correct answer ✔✔-Fully contributory on an elective basis
with no ER contributions -ER contributions with/without EE contributions
Qualified employers for 403(b) plans - correct answer ✔✔501(c)(3) non-profit
organizations and public school systems
Eligible employees for 403(b) plans - correct answer ✔✔Bona fide employees
(seasonal, part-time, full-time) - Not independent contractors
Types of contributions in 403(b) - correct answer ✔✔"-Non-elective contributions
(employer), -Employer matching, -Elective employee, -Elective employee for
employer matching"
Salary reduction limits - correct answer ✔✔Same as 401(k): $23,000 plus $7,500
catch-up in 2024
SECURE 2.0 increases the catch-up limit for EEs age 60 to 63.
the greater of $10,000 or 50% more than the regular catch-up limit
EGTRRA impacts on 403(b) plans - correct answer ✔✔Increased deferral limits
and compensation plans
Permitted use of both 403(b) and 457(b) plan by the same employer
